Totaled Car? What Will Your Car Insurance Pay?

Auto accidents are never pleasant. It’s even worse when your car is totaled. Aside from the shock and the inconvenience, you also have to think about how much a totaled car will cost you. Thankfully, a good car insurance policy can help you cover the costs of totaled car if the accident was your fault. Although every case is different, the Gill Agencies have a general overview of how insurance companies deal with totaled cars.

Reach out to your auto insurance company. If the accident was your fault, the first thing you’ll need to do is reach out to your auto insurance company. Once you’ve contacted them, the company will send an agent to appraise the damage. Should they deem that the vehicle is a total loss, your insurer will provide you with an actual cash value for your damaged vehicle. In order to determine a replacement vehicle’s value, your appraiser will look at local data for comparison.

Certain factors will be considered. Your appraiser will consider your vehicle’s make, mileage, and model as a part of the process. If you’ve recently had work done on your car, this will also be taken into consideration.

Costs will be calculated. Once the costs for a same-vehicle replacement are calculated, they’ll be compared to the buying costs for a new car. Finally, your insurer will give you their offer for your vehicle.